|
Dubbed “Rebuild Illinois” in 2019, the capital plan doubled the
19 cent gas tax to 38 cents and linked annual increases to the
Consumer Price Index. It increases again to 48.3 cents per
gallon on July 1.
Revenue generated from motor fuel taxes is primarily dedicated
to funding transportation-related infrastructure, but Ravi
Mishra, policy analyst with the Illinois Policy Institute, said
Illinoisans are not getting their money’s worth.
“The state just keeps on taking more taxes and there has been
very little to show for it,” said Mishra. “From research that we
have conducted, our roads have not gotten much better since the
increase in taxes.”
There has been legislation introduced by Illinois Republicans
that would temporarily halt fuel tax rate hikes linked to the
CPI. They argue that there is plenty of money in the state’s
road and construction fund and that it is time motorists receive
some relief at the pump.
As of May 12, the Illinois Road Fund had nearly $3.7 billion
sitting ready to be used for construction projects.
“As Springfield nears the end of the 2025 Spring Session and
budget talks ramp up, it is important for legislators to
remember increasing the motor fuel tax not only impacts their
constituents directly, through their increased cost at the pump,
but also indirectly, through increased costs of goods and
services throughout the economy,” said Nate Harris, CEO of the
Illinois Fuel and Retail Association.
IPI notes that Illinois’ practice of applying sales taxes to
gasoline after the motor fuel tax is charged effectively creates
a tax-on-tax predicament for drivers.
Mishra said Illinoisans shouldn’t be punished because of the
incompetence in Springfield.
“It’s a structural issue that Illinois just keeps on burning
taxpayers just because they can’t manage their budget,” said
Mishra.
All contents © copyright 2025 Associated Press. All rights
reserved |
|
